PECULIARITIES OF DEVELOPMENT OF THE STATE SYSTEM REGULATION OF THE INSURANCE MARKET OF UKRAINE

Abstract

The features of functioning of the system of state regulation of the insurance market of Ukraine were considered. Based on the analysis of activity of subjects of insurance market scientific principles were expanded, which together can be described as the idea of the presence of direct and reverse connections between the links of different levels in the system of regulation of non-bank financial services, particularly insurance market. The scheme of interactions between public authorities, primarily of the regulator of non-bank financial services, and nongovernmental institutions, self-regulatory associations, unions that unite a certain number of market members proposed in previous research works is recommended to be supplemented by connections with regional markets, as well as communication with scientists, the public and other institutions. Additions to the above scheme have been developed, which cover legally formed and informal channels of communication and interaction of insurance market entities. It is noted that the disadvantages of the insurance market include the insufficient level of responsibility of some insurance companies, insurance agents and insurance brokers to policyholders, which reduces the credibility of the market on the part of consumers of insurance services, citizens of Ukraine. Specific examples of violations of the current legislation by intermediaries in the insurance market are given. The attention is focused on the need to bring domestic legislation in the sphere of regulation of insurance mediation closer to European standards. Proposals in this direction, which take into account the European integration processes in Ukraine, were provided. The features of the new laws of Ukraine, which amended some legislative acts on the expansion of functions for state regulation of financial services markets and consumer protection, are considered. The improvement of legislation provides an opportunity to optimize the quantitative composition of regulatory bodies in the markets of non-banking services. This introduces the responsibility of financial institutions for violations of the rights of consumers of financial services. It is important that the authorized bodies have the right to apply measures of influence to economic entities and impose administrative penalties on officials. Improving the efficiency of the state regulatory policy, expanding and strengthening the mechanisms of state regulation and supervision should contribute to the termination of the activities of unscrupulous entities in the insurance market. We should expect a positive impact of the new laws on the economy of the state as a whole, since the insurance market, in particular, is one of the important segments of the financial sector of Ukraine.